Dell has announced it will build a #150 million factory in Ireland, creating around 3,000 new jobs. The move could allow Dell to capitalise on Compaq's takeover of Digital, according to Jamie Snowdon, analyst at research firm Input. "The market is there for increased volume, especially if you're Dell," he claimed. "With Compaq's acquisition of Digital, Dell will be hoping Compaq takes its eye off the ball in the low-end market." Of the 3,000 jobs, 2,400 will be at a 35-acre facility in Castleroy, Limerick. This site will manufacture the company's entire line of desktops, notebooks, workstations and servers available in Europe. A further 400 jobs will be created in Bray, near Dublin, at Dell's customer telesales and support division. The investment reflects the success of Dell's direct model, according to a Dell spokeswoman. "We have enjoyed growth right across our product range and manufacturing has been overstretched," she said. "The new facility will help keep up with demand in our ambitious growth model." In the seven years Dell has been operating in Ireland this is its third expansion. The choice is a tribute to the existing Irish workforce, the spokeswoman added. "This is the single biggest job creation in the history of Ireland and reflects the standard of education in Ireland and the Industrial Development Agency's support of internal investment," she said. Foreign manufacturers are often attracted by the 10% corporate tax rate in Ireland, compared to around 30% in most other European counties. The Limerick jobs will come on line over a three year period.
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